Millennium Grp Corp (Asia)

Yuanta Securities said that within the small and mid-cap group, second-quarter 2026 earnings were outstanding and the momentum continued into the third quarter of 2026. It expects normalized third-quarter 2026 earnings to grow quarter-on-quarter at 34 of 48 companies, or 71%, hold steady at 6 companies, or 13%, and decline at 8 companies, or 17%. When weighted by earnings base, only 8 companies are expected to contract, yet they account for 28.6% of the total, particularly SC, PSH and PSP, which have high earnings bases, meaning the universe's total third-quarter 2026 earnings may not accelerate quarter-on-quarter as much as the company count suggests. Companies expected to grow both quarter-on-quarter and year-on-year number 26, or 54%, with drivers spread across six groups: seasonal factors and the high season, added production capacity or new project launches, selling price increases that support gross margins, higher commodity prices, a recovering industry cycle, and backlog awaiting delivery. As for the impact of flooding, it is assessed as limited and short-term, with 5 companies benefiting, 14 affected and 29 not significantly affected. When weighted by earnings size, the beneficiaries have an earnings base of 1,122 million baht, compared with 901 million baht for those affected. From the 48 companies screened through four filters, 27 passed all of them, and these were divided into 15 interesting stocks. Tier 1, the most interesting group, has 5 companies, ranked by score from highest to lowest: SSP, MGC, NCAP, NER and RBF.

MGC is advancing its Mobility Ecosystem through its SIXT car rental business by partnering with ROYS HOTEL to provide guest shuttle services using XPENG electric vehicles, catering to the tourism market and the clean energy vehicle trend. Ms. Sukolkarn Thammachuanwiriya, Director and Chief Corporate Communications and Customer Relations Officer of Millennium Group Corporation (Asia) Public Company Limited, or MGC, stated that the car rental business continues to generate steadily increasing recurring revenue, and in terms of marketing, SIXT has been brought in to complement the hotel business. SIXT Car Rental Thailand is a global short-term car rental and limousine service brand operated under MGC. As for ROYS HOTEL, a business in the Thammachuanwiriya family, a budget of 300 million baht has been allocated for a major renovation of the building and premises from its former name ROYAL SUITE, which opened in 1997, to elevate it to a 4-star standard under the theme Design Your Stay. The hotel will have a total of 153 rooms, sized from approximately 25 square meters and up, and aims to open rooms on floors 8 to 11 in time for the High Season, with full 100% operations targeted within 2027.

Supapong Iamkong-aek, an analyst at Kiatnakin Phatra Securities, said global AI investment is moving beyond chips to the surrounding infrastructure, which will create positive ripple effects for the Thai economy, especially the opportunity to attract a new wave of foreign direct investment, or FDI, into the country's industrial sector and advanced technology supply chain. As power per rack in data centres rises from several tens of kilowatts to roughly 600kW and could reach 1MW in the future, the key constraints are shifting to power delivery systems, cooling systems and data transmission. KKP sees two major technology shifts: 800VDC technology and the move to optical connectivity. KKP expects a new wave of FDI into Thailand in semiconductors, printed circuit boards, or PCBs, and advanced electronics, and estimates that major Thai industrial estate developers WHA and AMATA will see land sales rise by about 2,500 rai per year and 2,000 rai per year respectively. Several Thai listed companies are ready to meet this demand, including DELTA, which holds more than 50% of the overall market, as well as HANA, KCE, SMT, CCET, TRT, PSP and MGC.

Millennium Group Corporation Asia, or MGC, has revealed that XPENG views Thailand as one of its key strategic markets and plans to build long-term growth in the country, as Thai consumers increasingly embrace electric vehicle and smart technologies. Mr. James Wu, Vice President of XPENG, said the company attaches importance to Thailand in terms of the consumer market, industrial structure, and the transition to intelligent and sustainable mobility. It does not see Thailand merely as a vehicle sales market, but wants to become part of the smart mobility ecosystem over the long term. MGC Asia is regarded as an important partner for XPENG in Thailand, with strengths in market understanding, automotive industry experience, and a comprehensive service network that will help support XPENG's business expansion in the country. Both sides plan to elevate their cooperation to cover more areas, including products, sales, after-sales service, charging stations, digital services, customer care, and personnel development, in order to build a complete mobility ecosystem. In addition, XPENG is open to deeper cooperation in the future in areas such as localization, supply chain, technology, and strategic initiatives, which could help create added value and business activities within Thailand. However, various projects still depend on feasibility studies, market conditions, and relevant approvals. At the regional level, XPENG positions Thailand as one of the key markets in its ASEAN strategy and sees opportunities for Thailand to play a greater role in the company's growth in Southeast Asia.

Kasikorn Securities expects the SET Index today to move in a range of 1,610 to 1,630 points. The market remains concerned about inflation from high long-term borrowing costs and Brent crude oil prices swinging above 90 dollars per barrel, but government stimulus measures are helping to support the economy. The brokerage recommends buying on dips in high-profit stocks BBIK and MGC. BBIK's backlog reached a new record high of 1.1 billion baht in the second quarter of 2026, up 35 percent from the previous quarter, and the company maintains its 2026 growth target of 20 percent. Meanwhile, MGC is getting positive momentum from the case of XPENG, which is studying the possibility of setting up an electric vehicle production plant in Thailand. If the investment actually moves forward, it would be positive for related stocks such as MGC, industrial estate groups, and auto parts stocks related to the electric vehicle business.

Millennium Group Corporation Asia, or MGC, expects its business trend in the third quarter of 2026 to keep growing from the same period last year, supported by a backlog of vehicle deliveries across various models, the gradual launch of new models, and the combined strength of its group businesses including Alpha X auto lending, Howden Maxi insurance, and after-sales services, to drive full-year 2026 revenue toward the 25 billion baht target after the first half of this year already reached about 14.7 billion baht. Most recently, XPENG Thailand launched the new L03, the latest next-generation AI SUV with a sporty coupe style, as the world's first right-hand-drive version, and aims to expand its after-sales service network from 20 locations to 30 nationwide within this year.

Yuanta Securities recommends buying MGC, or Millennium Group Corporation Asia, maintaining a target price of 20.20 baht after second-quarter 2026 normalized profit reached a new high of 359 million baht, up 26.9% quarter-on-quarter and 524.9% year-on-year. Revenue came in at 8.652 billion baht, up 43.7% quarter-on-quarter and 83.4% year-on-year, supported by accelerating deliveries of XPENG and ZEEKR vehicles. However, gross margin fell to 11.6% from 14.6% in the previous quarter because the company only began consolidating the financial statements of its Chinese electric vehicle distribution business from the third quarter of 2025. The company announced an interim dividend of 0.24 baht per share, with the XD date on August 26. Third-quarter 2026 net profit is expected to remain high year-on-year at 300 to 320 million baht. Although it is the low season, there were 2,141 electric vehicles awaiting delivery as of August 8, comprising 1,429 XPENG units and 310 BMW and MINI units combined. The fourth quarter is the peak season of the year, with upside from three new XPENG models expected to launch, the first being the L03 on August 18, which is not yet included in estimates. The stock currently trades at a low 2026 price-to-earnings ratio of just 7 times and offers a full-year dividend yield of no less than 6%. Technically, the price has a chance to recover after falling to test the 50-day moving average support around 7.50 baht, with resistance assessed at 9.50 to 10.00 baht.

Millennium Group Corporation Asia Public Company Limited, or MGC, reported second-quarter 2026 net profit surged 554% compared with the same period last year, setting a new record high for the fourth consecutive quarter. The board of directors also approved an interim dividend payment of 0.24 baht per share, reflecting strong operating performance from the electric vehicle business and related businesses.

Millennium Group Corporation Asia, or MGC, is targeting record-breaking performance this year, supported by a backlog of over 2,000 vehicle orders, the continuous launch of new models from XPENG, ZEEKR, and BMW in the second half of the year, and a recovery in the car rental business driven by rising tourist numbers. Group CEO Sanhawut Thamchuanviriya said that Chinese electric vehicles under the XPENG and ZEEKR brands will be the core revenue driver, with total EV registrations in Thailand this year expected to reach 200,000 units, accounting for 30 to 35 percent of the overall market. In addition, MGC has been entrusted with providing vehicles for the IMF-World Bank Group Annual Meetings and plans to open new branches in provincial areas starting from October.

MGC shares rose 2.51% to 10.20 baht during morning trading today, with turnover of 84.31 million baht. Yuanta Securities Thailand estimates that normalised profit for the second quarter of 2026 will hit a record high of 350 million baht, up 24% from the previous quarter and 509% from the same period last year, driven by accelerated deliveries of XPENG and ZEEKR electric vehicles. For the 2026 to 2027 outlook, normalised profit is forecast at 1.272 billion baht, up 86% from the previous year, and 1.447 billion baht, up 14%, respectively, supported by a full-year contribution from Neo Mobility, XPENG sales growth, the gradual launch of three to four new models from the second half of 2026 to the first half of 2027, and a significant improvement in gross margin. Yuanta Securities views MGC as transitioning from a car distributor to a dealer of future technology products, with the XPENG partnership potentially extending into the humanoid robot business in the future, which is not yet included in current estimates and therefore represents upside risk to earnings forecasts. The broker initiates coverage with a buy recommendation and a target price of 20.20 baht, highlighting a dividend yield of around 7% per year and a 2026 price-to-earnings ratio of just 6.6 times.

MGC disclosed that in the first half of 2026, it delivered close to 3,700 XPeng vehicles, matching the total deliveries for the full year 2025, and expressed confidence that second-half deliveries will remain on track, targeting full-year sales to double amid still-strong electric vehicle demand, while supply issues are easing and waiting times are shortening. On the after-sales side, the company has signed an MOU with TVS SCS to expand its parts warehouse to 3,000 square metres, increase parts listings to over 6,000 items, and plans to grow its service centres from 20 to 30 nationwide by the end of 2026 to support the current on-road fleet of around 7,000 vehicles.